Added to YB: 2026-02-25
Pitch date: 2026-02-22
KLAR [bullish]
Klarna Group plc
+0.61%
current return
Author Info
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Company Info
Klarna Group plc operates as a digital bank and flexible payments provider in the United Kingdom, the United States, Germany, Sweden, and internationally.
Market Cap
$5.1B
Pitch Price
$13.02
Price Target
21.00 (+57%)
Dividend
N/A
EV/EBITDA
3.06
P/E
-16.91
EV/Sales
0.43
Sector
Financial Services
Category
growth
Klarna: Time To Be A Contrarian
KLAR: Leading BNPL w/ 2x network vs closest competitor Affirm, licensed EU bank = lower funding costs, converting basic users ($28 ARPAC) to banking customers ($120 ARPAC - only 13% converted). 39% Q4 rev growth despite prudent guidance (22% vs 25% est). Credit stable despite fair financing ramp to 3x volumes. AI driving opex down while rev doubles since '22. Trading at bear case (~$13) despite $18-21 fair value. Lock-up expires March = potential entry. Thesis: misunderstood neobank, not just BNPL.
Read full article (16 min)